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Balanced Budget for Dummies

noun


What does Balanced Budget really mean?

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Hey there! So, a balanced budget is when a person, a company, or a government spends only as much money as they have. It's like when you have some pocket money and you decide to spend it on a few small things that you really want, but not so much that you're left with no money at all.

Now, when a government has a balanced budget, it means that they're not spending more money than they're bringing in. It's kind of like having a piggy bank and trying to make sure that you don't spend more than what you put in there. It's all about making sure that they're not getting themselves into too much debt.

So, imagine you have a week where you want to buy some snacks, but you only have a certain amount of money. You decide to buy just enough so that you still have some money left over for later. That's what a balanced budget is all about - making sure you don't spend more than you've got.

I hope that makes sense! If you have any more questions, feel free to ask!

Revised and Fact checked by Emma Johnson on 2023-11-15 23:12:12

Balanced Budget In a sentece

Learn how to use Balanced Budget inside a sentece

  • A balanced budget means that the government is spending only as much money as it is bringing in through taxes and other sources of income.
  • A household with a balanced budget is one where the amount of money being spent on things like bills, groceries, and other expenses is equal to the amount of money being earned through work or other sources.
  • Businesses often try to maintain a balanced budget so that they are not spending more money on things like supplies and employees' salaries than they are making in profits.
  • A country with a balanced budget is able to avoid accumulating large amounts of debt and can better afford to provide important services like education, healthcare, and infrastructure.
  • When individuals or organizations create a plan to achieve a balanced budget, they are carefully tracking their income and expenses to make sure they are in line with each other.

Balanced Budget Hypernyms

Words that are more generic than the original word.